updated 10:51 pm EST, Thu February 20, 2014
HP beats street on earnings per share, lost less revenue than expected
Manufacturer HP has posted its quarterly earnings, and the company posted better results than Wall Street expected. While first quarter net revenue of $28.2 billion was down one percent from the prior-year period, net earnings per share (EPS) was $0.74, up from $0.63 in the prior-year period and above the previously-provided outlook of $0.60 to $0.64.
"HP is in a stronger position today than we've been in quite some time," said Meg Whitman, HP president and chief executive officer. "The progress we're making is reflected in growth across several parts of our portfolio, the growing strength of our balance sheet, and the strong support we're receiving from customers and channel partners. Innovation is igniting our comeback, and at a time when many of our competitors are confronting new challenges, two years of turnaround work is setting us up for an exciting future."
Defying industry trends, Personal Systems revenue was up four percent year over year with a 3.3 percent operating margin. Commercial revenue increased eight percent, and Consumer revenue declined three percent. Total units were up six percent, with Desktops units down three percent and Notebooks units up five percent.
Printing revenue was down two percent year-over-year, with a 16.8 percent operating margin. Enterprise Group revenue was up one percent from the year-ago quarter, with a 14.4 percent operating margin. Industry Standard Servers revenue was up six percent, Storage revenue was flat, Business Critical Systems revenue was down 25 percent, Networking revenue was up four percent and Technology Services revenue was down four percent.